If you haven't been paying attention to the news lately, you might have missed information about the Home Renovation Tax Credit. It's part of the stimulus program that the federal government has put into place for this year, as part of the effort to help the economy and shorten the recession. Essentially, it works by reducing your income taxes up to $1,350 for the 2009 tax year.
So, how do you qualify? Simple, spend at least $1,000 on home renovations! Anything you spend starting with the $1,001th dollar up to the $10,000th dollar qualifies for a 15% income tax savings. Simply save your receipts showing that you spent the money on qualified renovations, and you're on your way to reducing your income tax for this year!
Things that qualify include new flooring, new windows, new roof shingles, new furnace or AC, renovating your kitchen or bathroom, etc, etc. Things that don't qualify would include a new TV, new stereo, etc because they typically don't stay with the house if it gets sold in the future.
So, if you're planning on improving your home so that you can enjoy it more or because you're thinking of putting it on the market in the near future, now is the time to get it ready! If you have more questions about the HRTC, give me a call and I'll do my best to answer your questions.
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